Delafield v. J. K. Armsby Co.

131 A.D. 572, 116 N.Y.S. 71, 1909 N.Y. App. Div. LEXIS 858
CourtAppellate Division of the Supreme Court of the State of New York
DecidedApril 8, 1909
StatusPublished
Cited by23 cases

This text of 131 A.D. 572 (Delafield v. J. K. Armsby Co.) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Delafield v. J. K. Armsby Co., 131 A.D. 572, 116 N.Y.S. 71, 1909 N.Y. App. Div. LEXIS 858 (N.Y. Ct. App. 1909).

Opinions

Ingraham, J.:

This action was brought to recover damages sustained by the plaintiffs in consequence of a breach by the defendant of a contract' by which the defendant sold to the plaintiffs 28,000 cases of Ned Alaska salmon. The questions of fact in this case were submitted to the jury by a very full and satisfactory charge to which the defendant took no exception except in relation to the measure of damages adopted by the trial court, which is the main question presented upon this appeal.

The facts as testified to hy the plaintiffs were as follows: The defendant was the sole representative in the United States for the purchase and sale of canned salmon packed in Alaska and elsewhere [574]*574by a California corporation known as the Alaska Packers’ Associa-. tion. Por many years prior to 1900 the plaintiffs had had transactions with the defendant purchasing from it canned salmon which had been resold both in this country and foreign countries without any restriction whatever. In August, 1900, the plaintiffs received a circular from the defendant stating that it had special information in regard to association brands, 1900 packed salmon, and stating the price of the various brands and the terms it had for sale; that an enormous demand for red salmon was certain and that the association would be sold out immediately, with a note stating that: “English market bare; American market practically bare; three great armies in the field, all eating Eed Salmon. Our best advice is for trade to buy double their usual, supply of Eed Alaska.” On August 21, 1900, the plaintiffs received a telegram from the defendant asking whether they wanted to buy Eed Alaska salmon that year and stating that the present price would be the lowest for the season and that the defendant felt certain' that Eed Alaska would sell for one dollar and twenty-five cents before summer. This telegram was followed by a letter dated the same day giving the reasons for the expected advance in price. The plaintiffs had been dealing in the English market for several years prior to 1900, and had agents in England. After this correspondence a Mr. Stubbs, who was the salesman of the defendant in Hew York and through whom the plaintiffs had purchased salmon for at least a year before from the defendant, called to see the plaintiffs and urged them.to purchase salmon. The plaintiffs told Stubbs that they were doing a large export business at that time and wished to purchase a large quantity. Stubbs replied that he would endeavor to make purchases for the plaintiffs so that they could ship to Great Britain. In the latter part of August Mr. Armsby, vice-president of the defendant, and Stubbs, defendant’s agent, had an interview with Mr. McGovern, one of the plaintiffs. Armsby stated to McGovern his views of the condition of the salmon market, especially the foreign condition, and said that he could secure for the plaintiffs several rates of freight to cover up the shipments as going to England so that the plaintiffs could ship under the local bill of lading from San Francisco to Hew York and have it exchanged upon arrival in Hew York for a through bill of lading from San Francisco to destination, and it was [575]*575•there agreed that plaintiffs should purchase 28,000 cases. The plaintiffs then dictated a statement outlining the terms of purchase, naming the brands and quantities they desired together with the price and terms of payments, which was written o.ut and handed to Armsby who handed it to Stubbs, telling him to make out a contract in accordance with the memoranda, and Stubbs took the statement away. The next day Stubbs came to the plaintiffs with the contract filled out in accordance with the agreement. One copy of this contract was signed “ J. K. Armsby Co., per Stubbs,” and the other was then signed by the plaintiffs, Stubbs taking away the contract signed by the plaintiffs and plaintiffs retaining the contract signed by the defendant. This contract was in the form of a letter of the defendant to the plaintiffs stating: “ Dear Sirs: Please enter our order for ” — the salmon purchased, specifying the brands and the price and containing the conditions and terms of sale. This was signed by the plaintiffs. A corresponding letter was addressed to the plaintiffs stating: “ Dear Sirs: — We have entered your order for ” — also specifying the number of cases, brands and price, with the same terms and conditions of sale and signed by “ J. K. Armsby Co., per Stubbs.” At the head of both these letters were the words: “ Salmon Sold for Domestic Consumption.” Immediately after Stubbs left their office McGovern noticed the words “ for Domestic Consumption ” at the head of the contract, and within an hour or two he saw Stubbs and called his attention to the words “ Sold for Domestic Consumption ” at the head of the letter. Stubbs at once struck out the words “for Domestic Consumption” on both letters, the plaintiffs taking one letter and leaving the other with Stubbs, but by mistake took their own letter instead of one signed by the defendant. Some time after this mistake was noticed the plaintiffs went to the defendant and offered to exchange contracts, they to take the one signed by the defendant, but before this mistake was discovered the defendant had refused to carry out the contract and declined to make the exchange.

It also appeared that prior to the time of this interview with Armsby and while plaintiffs were negotiating with Stubbs the plaintiffs had cabled to Great Britain and entered into negotiations there for a sale of this salmon, and within a day or two after this contract was made the plaintiffs closed a contract in that country for the sale [576]*576of 28,000 cases. As soon, as the plaintiffs received' Ure cable from Gréat Britain that the contract was closed, they called Armsby up on the telephone and told him that the plaintiffs had sold. 28,000 cases in Great Britain, and asked if the defendant could get the plaintiffs 15,000 cases more. Armsby congratulated the plaintiffs-on making the sale, and said he would take it up with the Chicago office at once and let the plaintiffs know. Subsequently-,. Armsby informed the plaintiffs that as they had sold so much salmon they could not sell them more than the 28,000 cases. Prior to the-execution of the contráct the plaintiffs told Armsby and Stubbs that- they had been cabling to find out whether they could place this large block of salmon in England; that they had sold some 10,000 or 50,000 cases for export at that time, and were then cabling to'find out. how much more the market would take- and at what price; that they were offering this salmon for export, intending to ship it to Great Britain, and that as soon as the contract between the plaintiffs and -the defendant was made he would confirm the sale in Great Britain by cable. On August thirty-first, the day after the contract was signed, the plaintiffs cabled, to tlreir representatives in England to make the,sale, which cable resulted in- the plaintiffs, through their English agents, making á sale in London for the full 28,000 cases of salmon at twenty-one shillings per case. On September 7, 1900, Armsby wrote to the plaintiffs from Chicago, stating that on his arrival at Chicago he found ü telegram from the San Francisco office to the effect that the plaintiffs were offering their new Alaska purchases from -the association in England, arid that “Mr. Fortman was. very much disturbed over tlie matter and refuses to deliver a case of it if sold for English shipment, as they have an. ironclad contract with Messrs. Balfour, Guthrie & Go. for such representation -in the. United Kingdom, and naturally would not do anything' .to break that contract.

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Bluebook (online)
131 A.D. 572, 116 N.Y.S. 71, 1909 N.Y. App. Div. LEXIS 858, Counsel Stack Legal Research, https://law.counselstack.com/opinion/delafield-v-j-k-armsby-co-nyappdiv-1909.